Understanding the risks

The risks of the strategy, explained clearly

No losing month since launch does not mean no risk. This page explains how the strategy can lose money, what exactly the figures shown on this site measure, and what the 95% global stop loss is for. Read it before deciding to copy the strategy.

The key points

You can lose some or all of the money you invest. Forex is traded with leverage, and the strategy uses a grid with a martingale. A strong, prolonged market move in one direction can cause a large loss, up to the entire capital allocated.
Past results do not guarantee future results. No losing month since November 2022 says nothing about the months ahead.
The worst drawdown shown does not measure everything. It is calculated on closed trades. While a grid is open, the unrealised drop on the account can be much larger: about 75% at worst, in April 2025.
The 95% global stop loss is a last resort, not capital protection. It only triggers after a loss of 95% of the amount invested in the copy.
Only invest money you can afford to lose, with no effect on your everyday life.

How the grid and the martingale work

The strategy takes positions on AUDCAD and NZDCAD. When price moves against a position, it does not take the loss straight away: it opens new positions at regular intervals, which is the grid. These new positions can be larger than the previous ones, which is the martingale. The average entry price of the whole set moves closer to the market price. A partial return of the price is then enough for all the positions together, the basket, to be closed in profit.

This is what explains the regularity of the results: most baskets end in profit, because price often comes back. It is also what makes the strategy risky.

The unfavourable scenario. If price keeps moving in the same direction for a long time without coming back, positions build up and the unrealised loss grows faster than the market move itself, because the open positions become more numerous and larger. The margin used on the account rises too. At some point the basket is closed at a loss: by a stop loss of the strategy, by the broker if margin runs out, or by the global stop loss of the copy. This loss can be large and can wipe out several months of gains at once.

AUDCAD and NZDCAD were chosen because these pairs usually move within price ranges, which suits a grid. Nothing guarantees this will always be the case: a central bank decision, a crisis or a lasting gap between the economies involved can lead to a long trend that goes against the strategy.

The strategy's stop losses and position sizes are adapted to the market situation. This aims to limit losses, but cannot prevent them.

The worst drawdown: what the figure measures

−5.5%

Worst drop on closed trades (June 2023)

47 / 47

Months closed in profit since 11 November 2022

The worst drawdown shown on this site is the largest fall in the strategy's performance, from a high to a low, counting only closed trades on AUDCAD and NZDCAD, day by day, since 11 November 2022. It updates automatically with the performance figures, as of 30 September 2026.

This figure does not include unrealised losses. As long as a basket is open, its positions can show a loss that has not been realised yet. With a grid, this unrealised loss can become much larger than the worst drawdown shown, before price comes back and the basket is closed in profit. On your account, what counts is the equity, open positions included: it can fall much further than this figure suggests.

The worst estimated unrealised drawdown is about 75%, in April 2025, on a basket that was eventually closed in profit. It is partly explained by losses on another market, which had reduced the account just before. Position sizes have been reduced since. This figure is an estimate based on the worst price reached by each open position, relative to the account balance; it is not updated automatically.

In the same way, a month “closed in profit” is a month whose closed trades are profitable overall. Positions can still be open with an unrealised loss at the end of the month.

The 95% global stop loss

The setup guide asks you to set the copy's global stop loss to 95%, instead of the 50% Vantage suggests by default. This setting belongs to your copy at Vantage: if the copy's loss reaches 95% of the amount you invested in it, Vantage stops the copy and closes the positions.

What it does: it sets an extreme limit on the loss of the copy, in case of an exceptional event.
What it does not do: it does not protect your capital day to day. It only triggers after almost the whole amount invested has been lost. In a sharp move or a price gap, for example when the market reopens after a weekend, the actual loss can even exceed this threshold when positions are closed.
Why not tighter: a closer threshold could cut the copy during an unrealised drop the grid could have recovered, and turn that drop into a permanent loss. The stop losses used day to day are those of the strategy, adapted to the situation; the 95% only comes into play as a last resort.

Choosing 95% therefore means accepting that a very large loss of the amount invested is possible before this safety net triggers.

Other risks to know about

Leverage and margin. Forex is traded with leverage: a small price change has a large effect on the account. If available margin runs out, the broker can close positions on its own, at the worst moment.
Gap between your account and the strategy. Execution delays, price differences, the 0.01 lot minimum size, a deposit below the €1,000 minimum or settings different from the guide: your result can differ from the strategy's, for better or worse.
Manual intervention. Closing a position yourself, adding a take profit or stop loss to a position, or trading on the same account can turn a winning basket into a loss.
Broker and platform. Your funds are deposited with Vantage, in your name, and never with PlanetFinance. An outage, an interruption of copying or a change in Vantage's terms can affect your account. Check which Vantage entity your account is opened with and which protections apply to it.
Market. Economic announcements, central bank decisions, low liquidity or price gaps when the market reopens can cause sudden moves.
Fee. The 20% fee on profits is taken from copier accounts: your result is slightly lower than the strategy's.

Before copying the strategy

Ask yourself whether you could lose the whole amount invested without it changing your everyday life. If the answer is no, do not copy the strategy, or invest less.
Do not borrow to invest, and do not use savings you might need.
Follow the settings in the setup guide: other settings increase the risk.
You can stop copying and withdraw your money at any time from your Vantage account. Withdrawing part of the gains from time to time limits the amount exposed to risk, but also reduces the margin available to the strategy.

PlanetFinance provides no investment advice, manages no funds and promises no returns. The information on this page is for information only, to help you understand the risks before making your own decision. For any question, write to us.

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